Managing Quality
Sixth Edition
Barrie G. Dale, David Bamford
and Ton van der Wiele
© 2016 John Wiley & Sons Ltd
Part One – The Development and Introduction of Total Quality Management
(TQM)
Chapter 1 – TQM: An Overview and the Role of Management
B. G. Dale, M. Papalexi, David Bamford and A. van der Wiele
Managing Quality
Part 1
Part 2
Part 3
Part 4
The Development
and Introduction
of TQM
The Business
Context of TQM
Quality
Management
Systems, Tools
and Techniques
TQM through
Continuous
Improvement
Ch1 TQM: An Overview
and the Role of
Management
Ch2 The Received
Wisdom on TQM
Ch3 The Introduction
and a Framework
for TQM
Ch4 Policy
Deployment
Ch5 Quality Costing
Ch6 Managing Service
Quality
Ch7 Supplier
Development
Ch8 Quality
Management Syste
ms and the ISO 9000
series
Ch9 Quality
Management Tools
Ch10 Quality
Management
Techniques
Ch11 Teams and
Teamwork
Ch12 Self-assessment,
Models and Quality
Awards
Ch13 Managing Quality:
New Challenges
Ch14 Managing Quality:
The Future
2
Learning Objectives
•
•
•
Understand the definition of Quality
and its importance
Understand the quality development
model
Understand the TQM Principles
3
Definitions of Quality
The measures of quality:
– Functional
– Design-related
– Aesthetics
•
•
•
Conformance to agreed requirements
(Crosby)
Fitness for purpose/use (Juran)
Conformance to specification
4
Why is Quality Important?
•
Quality is not negotiable
• Quality is all-pervasive
• Quality increases productivity
• Quality leads to better performance in the
marketplace
• Quality means improved business
performance
• The cost of non-quality is high
• Quality is a way of life
5
Importance of Quality
Market Gains
•
Reputation
•
Volume
•
Price
Improved
Quality
Increased
Profits
Lower Costs
•
Productivity
•
Rework/Scrap
•
Warranty
6
Development of Quality
Four level model
•
Inspection
– After then event screening – Detection based
•
Quality Control
– Introduction of basic systems – still Detection Based
•
Quality Assurance
– Development of complex systems – Prevention based
•
Total Quality Management…
– Development of culture – People based
7
Inspection
Lowest level of quality development
• Key product characteristics examined
–
–
–
–
Compared to known standard
Lack of ownership
After the event
Lack of feedback to source
•
Inspection will not provide any basis for process
improvement
•
Debatable if it provides an effective screening
against defects reaching the external customer
8
Quality Control
The second level of quality development
• Implied use of control systems
– Raw materials, drawing issues, inspection reports
•
Development of inspection procedures
– Calibration, limited quality audits
– Use of basic QM tools
• Defect recording and analysis
• Quality costs still unknown
– Limited use of operator self inspection
•
Still largely based on goods inwards inspection
– Reliance on inspection to catch non-conforming work
9
Quality Assurance
Third level of quality development
• Represents a shift from detection to
prevention
• Planned and systematic actions defined
–
–
–
–
Existence of mature quality system
Greater use of QM tools – SPC, QFD, FMEA
Known levels of quality performance and costs
ISO 9000 or major customer approval
Most mature manufacturers at this level
10
Total Quality Management
Represents the most advanced stage of quality
development
• A Management philosophy
• Application of QM to all aspects of business
– Focused on the requirements of the customer
– Recognizes the importance of suppliers
– Company wide approach
• Continual improvement
• Integration of all quality systems and procedures
• Development of organizational culture
11
Developing TQM
•
•
•
•
Organizing
Systems and techniques
Measurement and feedback
Changing the culture
12
TQM Principles
•
•
•
•
•
•
•
Internal customer supplier relationship
Continuous Improvement
Teamwork
Employee participation/development
Training and education
Suppliers and customers integrated into
the process
Honesty, sincerity and care
13
Starting TQM is like pushing a
boulder up a mountain….
hard work!!
Along the way its gets harder…
People get left behind…
Fall out… and it feels
like you’re the
only one trying!
But eventually it gets to a point
when the process gathers
speed and becomes
unstoppable!!!
14
Key Questions
•
Why Quality is important?
•
Discuss the quality development model –
think about examples represent each of
the four levels
•
What are the key elements of TQM?
15
Why is Quality Important?
•
Quality is one of the few variables that can distinguish a
business from its competition.
•
It leads to increased customer satisfaction and increased
employee productivity
•
Customers are willing to pay more to receive better
service
– 95 per cent of dissatisfied customers will become loyal
customers again if their complaints are handled well and quickly.
* Source - statistics compiled by Mattson & Associates from service sector
companies in the USA. (Dale (2007:13)
16
Discuss the quality development model
– think about examples represent each
of the four levels
Four level model
•
Inspection
– In a manufacturing environment: checking products before they are
passed into the warehouse
– In a service environment: applied at appraisal points in the delivery
processes
•
Quality Control
– Quality control measures which lead to greater process control and
lower incidence of non-conformance
•
Quality Assurance
– Use of the seven quality control tools (histogram, check sheet, Pareto
analysis, cause-and-effect diagram, graphs, control chart and scatter
diagram)
•
Total Quality Management
– The integrated application of tools and techniques with increased
emphasis on people and process management to eliminate wastage
and non-value-adding activities
17
What are the key elements of TQM?
•
•
•
•
•
•
•
•
Commitment and leadership of the chief
executive officer
Planning and control
Using tools and techniques
Education and training
Involvement
Teamwork
Measurement and feedback
Continuous Improvement
18